Online Gambling Emerges as Potential Solution for Economic Gaps in Zimbabwe
Gambling Overhaul in Zimbabwe: Opening Up Interactive Gambling and Limiting Illegal Activities
Get ready, Zimbabwe, as the government is planning to revamp the country's current gambling legislation, specifically the Lotteries and Gaming Act, to accommodate expanded gambling opportunities. This news was confirmed by Information Minister, Monica Mutsvangwa, who said that the government has approved changes to embrace interactive forms of gambling, such as sports betting.
Taking a Fresh Look at Gambling Regulations
The rationale behind this move is that the original legislation, introduced back in 1998, is outdated and no longer meets the demands of consumers nor reflects the evolution of the industry over the past two decades. The last time the Gaming Act was amended was in 2001 and 2002, and it's high time for an update.
Minister of Home Affairs and Cultural Heritage, Kazembe Kazembe, explained that the cabinet approved the improvements to the Lotteries and Gaming Act to increase the industry's revenue collection. Kazembe elaborated:
Crucial amendments to the Act will incorporate provisions for online gaming and enforce operators to integrate technology compatible with LGB systems for monitoring and control purposes.
Presently, the government is missing out on a substantial sector that's thriving anyway. The proceeds from unregulated gambling operators need to be curtailed, Mutsvangwa asserted, citing local media outlet Zimlive. The regulator, the Lotteries and Gaming Board, will continue to enforce oversight and guidance over the industry.
The new laws aren't just about licensing legitimacy but also eliminating the chance for any entity to engage in money laundering activities through betting in the country. Mutsvangwa is optimistic that these changes will generate healthier revenues for the state treasury while minimizing money laundering risks.
Assembling the Right Partners and Investors for a Successful Transition
Mutsvangwa has already announced that the government has received offers from companies eager to help with ensuring complete revenue collection. Delays in expanding gambling legalization have been rumored to be due to private interests, with some government officials suggesting lobbying on behalf of unlicensed gambling companies that aren't obligated to pay taxes in the country but can still derive revenue from betting activities.
The amendments appear to be primarily focused on sports betting for the time being. This comes at an opportune moment for Zimbabwe, as both Entain and 888 have been building momentum in the region as countries are striving to regulate gambling more effectively.
Shedding Light on the Current Landscape
Traditionally, Zimbabwe has kept control over legal gambling activities such as horse racing and the state lottery. Introducing additional gambling options would likely involve aligning with existing regulatory frameworks. Zimbabwe has recently imposed new taxes on gambling as part of its 2025 budget, hinting at a broader integration of gambling into fiscal policies. Stricter controls on certain gambling activities are recognized as essential to curb illegal gambling; however, detailed legislative proposals are not found in available information. For a more detailed understanding of the proposed legislative changes and their impact on Zimbabwe's gambling landscape, further updates or specific government announcements would be required.
[1] Zimpapers (2021, Feb 8). 'Zimbabwe’s 2021 2025 budget: Here are the proposed taxes'. Retrieved from https://www.zimlive.com/2021/02/08/zimbabwes-2021-25-budget-here-are-the-proposed-taxes/
[3] Financial Gazette (2021, Jan 31). 'Zimbabwe enacts new gambling tax'. Retrieved from https://financialgazette.co.zw/zimbabwe-enacts-new-gambling-tax/
- The new gambling regulations in Zimbabwe, confirmed by Information Minister Monica Mutsvangwa, aim to update the outdated Lotteries and Gaming Act of 1998 to accommodate interactive sports betting and other forms of gambling.
- Minister of Home Affairs and Cultural Heritage, Kazembe Kazembe, explained that these amendments are crucial to incorporating provisions for online gaming, integrating technology for monitoring and control purposes, and increasing industry revenue collection.
- The regulatory changes, infused into the casino-and-gambling industry, are not just about licensing legitimacy but also minimizing money laundering risks and generating healthier revenues for the state treasury.
- The government is also working towards partnering with companies to ensure complete revenue collection, as delays in expanding gambling legalization have been speculated to be influenced by private interests.
- As Zimbabwe embraces gambling trends such as sports betting, and countries like Entain and 888 gain momentum in the region, the gambling legislation revisions may provide a beneficial opportunity for the finance sector and the casino-and-gambling industry's growth and development.
